Bankruptcy

To approach the restructuring or closing down process of a company in a state of insolvency, where the company must decide on its feasibility or the board members protect their own liability as managers, is always a complex project from a legal perspective, which requires a strong planning and strict legal leadership. The fact that several actors play a role during its development, financial creditors, public entities, employees, trade creditors, together with the intervention and control of other judiciary bodies force companies are forced to hire teams of experienced lawyers, financial experts and project managers. We can guarantee the success of our proposed course of action thanks to the joint forces of those multidisciplinary teams.

Vaciero Lawyers’ Bankruptcy Area can provide expert advice in different areas:

Assistance along the bankruptcy proceedings, from strategy design to its termination including incidences and the section for evaluation process

Defense in case of requesting bankruptcy

To preserve personal and family estate while defining the extent of liability as administrators

Our multidisciplinary team is ready to help you to prepare and request a declaration of bankruptcy in order to reach a debt relief agreement or an arrangement with creditors:

Identification of the situation of the debtor company and the definition of the purpose of the bankruptcy and the strategy to be followed

Actions to be carried out before bankruptcy proceedings: to adapt preventive measures, to recover and/or protect assets. Prior actions on the estate of administrators and guarantors

To prepare the request for the bankruptcy, the report and other documentation

To analyse employee situation and to list the specific actions to be developed: Layoff plans

To manage the bankruptcy proceedings according to the scope defined at every different stage

To draw up the arrangements, select the alternatives and key creditors, to manage the negotiation and look for solutions to avoid the section for evaluation

Assistance to the committee of creditors and to conclude specific agreements with privileged creditors

Refinancing agreement under the umbrella of Bankruptcy Law 5bis

Company insolvency resolution implies, on many occasions, reaching refinancing agreements with your creditors, outside the bankruptcy proceedings. These agreements, which are also regulated by the Bankruptcy Law, require quick and accurate actions where management time reveals as the key to success while the “pre-bankruptcy” acts as a shield.

Our team of experts in Company insolvency will lead you to reach of these solutions:

To prepare, negotiate and close refinancing agreements pursuant to Art, 71 bis of Bankruptcy Law, by obtaining “fresh money”

To prepare and reach complex refinancing agreements including debt relief agreement, an arrangement with creditors, capital conversions, generation of subordinated loans and extension of effects to dissidents

To manage and execute extrajudicial agreements for payments

Declaration of Bankruptcy for liquidation and business closing

Our multidisciplinary team is qualified to help you during the preparation and request of the declaration of bankruptcy in order to achieve a proper closing of the business, avoiding conflicts with creditors and minimizing the liability of administrators:

Preparation and strategy of bankruptcy liquidation. Milestones and stages

Revision of actions developed during the two previous years. Analysis of what caused the insolvency and preparation of the legal defense of administrators

Definition of a Liquidation Plan. If it is feasible, to look for potential buyers of the productive unit according to bankruptcy administration.

Preparation of the request for bankruptcy, the report and documentation explaining the cause. Previous revision of formal issues

To analyse employee situation and to list the specific actions to be developed to avoid social conflict

To manage the bankruptcy proceedings according to the scope defined at every different stage

Assistance to administrators in section for evaluation

Purchase of assets and productive units of companies in declaration of Bankruptcy

The purchase of companies or company assets in declaration of bankruptcy with little feasibility may be regarded as a solution to continue business together with third parties. Competitors or new investors may purchase companies undergoing difficult moments taking advantage of a favourable purchasing structure.

Our broad experience in bankruptcy and in-depth knowledge of what rules an insolvency liquidation makes it possible:

To identify the business units, companies or company assets according to your growth needs subject to be purchased during a bankruptcy procedure

To analyse the adopted insolvency procedure, competitors and structure of proposals. We will provide you with the most appropriate proposal at any time.

To revise creditor legal situation in the bankruptcy procedure, to negotiate with financial entities to subrogate guarantees, and to find a model agreement with the Insolvency Administration

Bidder legal representation, generation of the proposal/offer, legal due diligence and definition of guarantees for the purchaser

Definition of bridge contracts that enable business continuity and guarantee the value of the goodwill to be purchased. Advisory services to transfer the business and its key assets

Development of solutions to subrogate staff, amending layoffs and other changes to substantial labour conditions

Legal assistance to approve the offer, requesting the necessary judicial decisions to guarantee the absence of debt transfer from the party in bankruptcy